The Little Book That Still Beats the Market by Joel Greenblatt

What's the minimum amount needed to start trading?

Many online brokers now offer $0 minimums for stock trading. Forex typically requires $100-$500 for micro accounts. Options usually needs $2,000+ for margin accounts.

What is the best trading platform for beginners?

Fidelity and Schwab offer the best combination of zero commissions, educational resources, and user-friendly interfaces. Robinhood's simplicity appeals to beginners but lacks research depth. For active learners, Webull offers advanced charting with paper trading. Start with one platform, master the basics, and switch later if needed. Avoid platforms that push options or margin trading to new users.

What are stock options and how do they work?

Options give you the right (not obligation) to buy (call) or sell (put) a stock at a specific price (strike) by a specific date (expiration). Calls profit when stocks rise; puts profit when stocks fall. Options amplify both gains and losses — you can lose 100% of your investment. Start with covered calls and cash-secured puts to learn. Never sell naked options as a beginner.

What is the difference between day trading and swing trading?

Day traders close all positions before market close, holding for minutes to hours. Swing traders hold for days to weeks, capturing larger price movements. Day trading requires $25K minimum (Pattern Day Trader rule), real-time data, and full-time attention. Swing trading works with a regular job. Studies show 70-90% of day traders lose money; swing trading has better odds for part-time traders.